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6371

Tsubakimoto Chain TSE:6371 Stock Report

Last Price

JP¥3.11k

Market Cap

JP¥114.0b

7D

-3.1%

1Y

-11.6%

Updated

28 Sep, 2022

Data

Company Financials +
6371 fundamental analysis
Snowflake Score
Valuation6/6
Future Growth1/6
Past Performance4/6
Financial Health6/6
Dividends6/6

6371 Stock Overview

Tsubakimoto Chain Co. manufactures and sells materials handling systems, automotive parts, chains, and power transmission units and components.

Tsubakimoto Chain Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Tsubakimoto Chain
Historical stock prices
Current Share PriceJP¥3,110.00
52 Week HighJP¥3,545.00
52 Week LowJP¥2,846.00
Beta1.14
1 Month Change-2.36%
3 Month Change2.47%
1 Year Change-11.65%
3 Year Change-8.12%
5 Year Change-32.46%
Change since IPO-24.97%

Recent News & Updates

Shareholder Returns

6371JP MachineryJP Market
7D-3.1%-3.4%-2.3%
1Y-11.6%-15.3%-8.8%

Return vs Industry: 6371 exceeded the JP Machinery industry which returned -15.3% over the past year.

Return vs Market: 6371 underperformed the JP Market which returned -8.8% over the past year.

Price Volatility

Is 6371's price volatile compared to industry and market?
6371 volatility
6371 Average Weekly Movement3.0%
Machinery Industry Average Movement3.5%
Market Average Movement3.5%
10% most volatile stocks in JP Market7.4%
10% least volatile stocks in JP Market1.8%

Stable Share Price: 6371 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: 6371's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19178,566Yasushi Oharahttps://tsubakimoto.com

Tsubakimoto Chain Co. manufactures and sells materials handling systems, automotive parts, chains, and power transmission units and components. The company operates through Chain Operations, Motion Control Operations, Mobility Operations, and Materials Handling Operations segments. Its power transmission products include drive, conveyor, and top chains; and hose and cable carrier systems, reducers, high speed lifters, linear actuators, sprockets/pin gear drives, timing belts and pulleys, locking devices, shaft couplings, clutches, electrical controllers, and mechanical protectors.

Tsubakimoto Chain Fundamentals Summary

How do Tsubakimoto Chain's earnings and revenue compare to its market cap?
6371 fundamental statistics
Market CapJP¥114.01b
Earnings (TTM)JP¥14.86b
Revenue (TTM)JP¥223.52b

7.7x

P/E Ratio

0.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
6371 income statement (TTM)
RevenueJP¥223.52b
Cost of RevenueJP¥158.74b
Gross ProfitJP¥64.78b
Other ExpensesJP¥49.92b
EarningsJP¥14.86b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Oct 31, 2022

Earnings per share (EPS)401.35
Gross Margin28.98%
Net Profit Margin6.65%
Debt/Equity Ratio16.1%

How did 6371 perform over the long term?

See historical performance and comparison

Dividends

4.2%

Current Dividend Yield

30%

Payout Ratio

Does 6371 pay a reliable dividends?

See 6371 dividend history and benchmarks
When do you need to buy 6371 by to receive an upcoming dividend?
Tsubakimoto Chain dividend dates
Ex Dividend DateSep 29 2022
Dividend Pay DateDec 02 2022
Days until Ex dividend1 day
Days until Dividend pay date65 days

Does 6371 pay a reliable dividends?

See 6371 dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is 6371 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6371?

Other financial metrics that can be useful for relative valuation.

6371 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.4x
Enterprise Value/EBITDA3.2x
PEG Ratio5.8x

Price to Earnings Ratio vs Peers

How does 6371's PE Ratio compare to its peers?

6371 PE Ratio vs Peers
The above table shows the PE ratio for 6371 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average22.3x
6135 Makino Milling Machine
8x8.1%JP¥105.2b
6457 Glory
31.3x16.5%JP¥123.9b
37.6x31.9%JP¥140.2b
6013 Takuma
12x1.7%JP¥100.2b
6371 Tsubakimoto Chain
7.7x1.3%JP¥114.0b

Price-To-Earnings vs Peers: 6371 is good value based on its Price-To-Earnings Ratio (7.7x) compared to the peer average (22.3x).


Price to Earnings Ratio vs Industry

How does 6371's PE Ratio compare vs other companies in the JP Machinery Industry?

Price-To-Earnings vs Industry: 6371 is good value based on its Price-To-Earnings Ratio (7.7x) compared to the JP Machinery industry average (10.3x)


Price to Earnings Ratio vs Fair Ratio

What is 6371's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6371 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.7x
Fair PE Ratio9.8x

Price-To-Earnings vs Fair Ratio: 6371 is good value based on its Price-To-Earnings Ratio (7.7x) compared to the estimated Fair Price-To-Earnings Ratio (9.8x).


Share Price vs Fair Value

What is the Fair Price of 6371 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6371 (¥3110) is trading below our estimate of fair value (¥8758.1)

Significantly Below Fair Value: 6371 is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is Tsubakimoto Chain forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


1.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6371's forecast earnings growth (1.3% per year) is above the savings rate (0.04%).

Earnings vs Market: 6371's earnings (1.3% per year) are forecast to grow slower than the JP market (8.5% per year).

High Growth Earnings: 6371's earnings are forecast to grow, but not significantly.

Revenue vs Market: 6371's revenue (3.2% per year) is forecast to grow slower than the JP market (4.2% per year).

High Growth Revenue: 6371's revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6371's Return on Equity is forecast to be low in 3 years time (6.2%).


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Past Performance

How has Tsubakimoto Chain performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-6.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 6371 has high quality earnings.

Growing Profit Margin: 6371's current net profit margins (6.6%) are higher than last year (5.4%).


Past Earnings Growth Analysis

Earnings Trend: 6371's earnings have declined by 6.5% per year over the past 5 years.

Accelerating Growth: 6371's earnings growth over the past year (35.9%) exceeds its 5-year average (-6.5% per year).

Earnings vs Industry: 6371 earnings growth over the past year (35.9%) exceeded the Machinery industry 24.4%.


Return on Equity

High ROE: 6371's Return on Equity (6.8%) is considered low.


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Financial Health

How is Tsubakimoto Chain's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 6371's short term assets (¥169.3B) exceed its short term liabilities (¥62.8B).

Long Term Liabilities: 6371's short term assets (¥169.3B) exceed its long term liabilities (¥55.6B).


Debt to Equity History and Analysis

Debt Level: 6371 has more cash than its total debt.

Reducing Debt: 6371's debt to equity ratio has reduced from 21.7% to 16.1% over the past 5 years.

Debt Coverage: 6371's debt is well covered by operating cash flow (59.4%).

Interest Coverage: 6371 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Tsubakimoto Chain current dividend yield, its reliability and sustainability?

Dividend Score

6/6

Dividend Score 6/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


4.18%

Current Dividend Yield

Dividend Yield vs Market

Tsubakimoto Chain Dividend Yield vs Market
How does Tsubakimoto Chain dividend yield compare to the market?
SegmentDividend Yield
Company (Tsubakimoto Chain)4.2%
Market Bottom 25% (JP)1.7%
Market Top 25% (JP)3.7%
Industry Average (Machinery)2.4%
Analyst forecast in 3 Years (Tsubakimoto Chain)4.3%

Notable Dividend: 6371's dividend (4.18%) is higher than the bottom 25% of dividend payers in the JP market (1.66%).

High Dividend: 6371's dividend (4.18%) is in the top 25% of dividend payers in the JP market (3.73%)


Stability and Growth of Payments

Stable Dividend: 6371's dividends per share have been stable in the past 10 years.

Growing Dividend: 6371's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (29.9%), 6371's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (37%), 6371's dividend payments are well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

2.7yrs

Average management tenure


CEO

Yasushi Ohara

1.25yrs

Tenure

Mr. Yasushi Ohara serves as Chairman, Chief Executive Officer and Representative Director at Tsubakimoto Chain Co since June 29, 2021 and was its President and Chief Operations Officer until June 29, 2021....


Leadership Team

Experienced Management: 6371's management team is considered experienced (2.7 years average tenure).


Board Members

Experienced Board: 6371's board of directors are considered experienced (5.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

What is the ownership structure of 6371?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders28,3000.08%
Public Companies1,158,0003.1%
Employee Share Scheme1,563,0004.2%
General Public15,979,64043.2%
Institutions18,288,85149.4%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 53.57% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
9.63%
T&D Asset Management Co., Ltd.
3,565,600¥11.1b0%1.75%
4.79%
Nissay Asset Management Corporation
1,773,000¥5.5b0%0.06%
4.27%
Nomura Asset Management Co., Ltd.
1,580,100¥4.9b0%0.02%
4.22%
Tsubakimoto Chain Co. Ltd., Mutual Prosperity Association
1,563,000¥4.9b0%no data
4.17%
Sumitomo Mitsui Trust Asset Management Co., Ltd.
1,544,400¥4.8b0%0.03%
3.13%
Tsubakimoto Kogyo Co., Ltd.
1,158,000¥3.6b0%no data
2.85%
The Vanguard Group, Inc.
1,055,673¥3.3b0.71%no data
2.7%
Sumitomo Mitsui Financial Group Inc., Asset Management Arm
1,000,000¥3.1b0%0.06%
2.41%
Dimensional Fund Advisors LP
891,338¥2.8b1.6%no data
2.19%
Mitsubishi UFJ Trust and Banking Corporation, Asset Management Arm
810,300¥2.5b0%0.02%
1.82%
Norges Bank Investment Management
673,268¥2.1b0%no data
1.8%
Resona Bank Ltd., Asset Management Arm
667,000¥2.1b0%0.36%
1.73%
MUFG Bank, Ltd.,Investment Banking Arm
641,000¥2.0b0%0.07%
1.09%
Polaris Capital Management, LLC
403,300¥1.3b0%0.12%
1.08%
Daiwa Asset Management Co. Ltd.
400,700¥1.2b0.23%0.01%
1.05%
BlackRock, Inc.
387,404¥1.2b1.39%no data
1%
Nikko Asset Management Co., Ltd.
371,000¥1.2b0%no data
0.89%
Morant Wright Management Limited
330,000¥1.0b0%0.94%
0.53%
Charles Schwab Investment Management, Inc.
194,768¥605.7m2.19%no data
0.42%
Nippon Value Investors K.K.
157,000¥488.3m0%0.42%
0.42%
Mitsubishi UFJ Kokusai Asset Management Co., Ltd.
156,600¥487.0m0%no data
0.38%
Goldman Sachs Asset Management, L.P.
138,900¥432.0m-47.39%no data
0.35%
Eastspring Investments (Singapore) Limited
129,500¥402.7m-58.65%0.02%
0.35%
Franklin Resources, Inc.
128,300¥399.0m-67.11%no data
0.3%
PGIM, Inc.
111,212¥345.9m-2.05%no data

Company Information

Tsubakimoto Chain Co.'s employee growth, exchange listings and data sources


Key Information

  • Name: Tsubakimoto Chain Co.
  • Ticker: 6371
  • Exchange: TSE
  • Founded: 1917
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Implied Market Cap: JP¥114.015b
  • Shares outstanding: 37.02m
  • Website: https://tsubakimoto.com

Number of Employees


Location

  • Tsubakimoto Chain Co.
  • Nakanoshima Mitsui Building
  • 6th Floor
  • Osaka
  • 530-0005
  • Japan


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6371TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
TSBDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/28 00:00
End of Day Share Price2022/09/28 00:00
Earnings2022/06/30
Annual Earnings2022/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.